What is Class A, Class B and Class C office space?
officebroker.com investigates the difference between office space categories.
Major US cities such as Dallas are home to many Class A executive office suites
Office properties and executive suites are often grouped into three general categories, which indicate the quality and standard of the office building, including fit-out, facilities, location, age of property, and even the credibility of the landlord.
To find out more about Class A, B and C offices, use our guide below. Note that there is no clear definition that specifies exactly what a building needs to make a certain grade - unlike the rigorous check-sheets required for LEED accreditations - so if you have any information or examples to add, feel free to leave your comments below.
Class A office space
These are the most prized and sought-after offices, which are often brand new or have been recently redeveloped to a very high standard. These offices occupy prestigious locations in major cities such as Chicago, New York and Los Angeles, and have high rental values.
Class A offices are fitted out to top quality standards, complete with sleek design, state-of-the-art facilities, top-notch furniture and excellent accessibility. Most Class A offices will appeal to high-profile companies from all over the world, such as banks, investment companies and law firms.
Occupying a Class A office boosts business image, so many top companies are willing to pay more expensive rates in order to secure the very best properties in recognized locations.
Class B office space
Offices that fall within the Class B bracket appeal to a wide range of companies, and are typically available in less exclusive areas. As a result, the cost of occupying a Class B office is much more affordable for small or medium businesses.
While Class B offices fall below the quality of Class A offices, they are not considered sub-standard. In fact, some Class B offices are ex-Class A properties. The facilities and overall value of the offices are usually above average and satisfactory for standard business requirements.
Class C office space
The lower grade of office, Class C, refers to a space that is functional, but is generally fitted out to a much lower quality than a Class B office. The office is usually located in out of town areas or suburbs, and as a result tenants will often pay much lower rents than those charged for Class B offices or above.
Class C offices are often located above retail or service businesses, and despite a generally lower level of maintenance, usually maintain steady occupancy.
If you have any further information to add to these descriptions, please get in touch below to share your views.
To find quality, serviced office space and executive suites in the US, the UK or internationally, start searching online at officebroker.com or speak to one of our office space consultants for free, expert advice.